Car Insurance Statistics: 100 studies, facts, and rates

Posted by Nagle & Associates | Jun 30th, 2021 |

Car insurance is an expense that every driver must deal with. Although car insurance ultimately exists to protect all drivers on the road, it is an expense that get scrutinized, compared, and analyzed in hopes of diminishing its monetary impact. The North Carolina personal injury attorneys at Nagle & Associates have compiled an exhaustive list of car insurance statistics that take into account geographical location, gender, age, race, and COVID.

The effects of COVID on car insurance

  • It is estimated that insurers will return $14 billion to customers because of the dramatic decrease in driving. 
  • Property damage frequency was down more than 30 percent from last year.
  • Severity of accidents was up almost 20 percent.
  • People are driving about 12 percent fewer miles than they did last year.
  • Traffic fatalities are up 4 percent.

National car insurance statistics

  • The average car insurance premium in the United States is $1,548.
  • Since 2011, rates have increased by 29.6% nationally.
  • The least expensive state in the nation is Maine, with annual average premiums costing $935.
  • The most expensive state in the nation is Michigan, with an average cost of $3,096.

10 most expensive states for car insurance in 2020

State
Avg annual premium
Michigan $3,096
Louisiana $2,379
Florida $2,309
Kentucky $2,208
Rhode Island $2,103
Nevada $1,974
California $1,868
Delaware $1,803
Oklahoma $1,787
Colorado $1,757

10 most inexpensive states for car insurance in 2020

State
Avg annual premium
Maine $935
North Carolina $955
Virginia $1,005
New Hampshire $1,037
Hawaii $1,045
Ohio $1,047
Iowa $1,106
Vermont $1,156
Idaho $1,164
Indiana $1,165

Car insurance by model

  • Vans were the cheapest car type to insure with annual premiums totaling $1,688.
  • Sedans were the most expensive vehicle type to insure, with average costs coming to $2,275 per year.
  • The most expensive car to insure in 2020 was the Mercedes AMG GT R $4,082.
  • The least expensive car to insure in 2020 was the Subaru Outback.

10 most expensive cars to insure in 2021

Make and Model Yearly Rate
Maserati Quattroporte S GranSport $4,823
Maserati Ghibli S Q4 GranSport $4,208
Tesla Model S Performance (Plaid) $4,143
Tesla Model X Performance (Plaid) $4,025
BMW M760i xDrive $3,914
Audi R8 5.2L V10 Spyder Quattro $3,863
Nissan GT-R Nismo $3,829
Maserati Levante GTS $3,803
BMW M5 Competition Xdrive $3,777
BMW 750xi $3,748

10 most inexpensive cars to insure in 2021

Make and Model Yearly Rate
Subaru Forester $1,774
Dogde Grand Caravan $1,786
Honda Odyssey $1,800
Ford Escape $1,877
Toyota Sienna $1,966
Toyota Highlander $1,978
Toyota Tacoma $1,989
Jeep Grand Cherokee $1,999
Chevrolet Tahoe $2,006
Nissan Versa $2,011

Gender and car insurance

  • There isn’t much difference between what women and men pay for car insurance, with women paying less than 1% more than men on average.
  • But, this average varies by state, for example: women in Louisiana pay 5% more than men while men in Wyoming pay 3.7% more than women
  • For most age brackets, male and female car insurance rates are similar – on average, women pay $740 per six-month policy, while men pay $735.
  • But, for teens, the average male driver pays approximately 14% more for car insurance than a female driver, reflecting the risk exhibited by teenage male drivers.
  • Between the ages of 20 and 24, male drivers pay 8% more than female drivers.
  • Some states do not currently use gender as a rating factor for insurance premiums, these include: Hawaii, Massachusetts, Pennsylvania, North Carolina, California, and Montana.

Age and car insurance

  • Drivers 55 and up experience the cheapest rates.
  • A 16-year-old driver with a policy of their own would pay, on average, $6,600 per year for car insurance. This is more than 3x the average for drivers ages 23-85.

Average cost of car insurance for a 17 year old

Car Insurance Provider
Average 6-Month Premium
Allstate $3,483
Farmers $3,595
GEICO $1,743
Liberty Mutual $3,439
Nationwide $2,309
Progressive $4,255
State Farm $1,793
USAA $1,527

Average insurance premiums for drivers in their 20s

Age
Average 6-month premium
20 $1,480
21 $1,211
22 $1,103
23 $1,024
24 $957
25 $855
26 $844
27 $832
28 $824
29 $815

Race and car insurance

  • On average, drivers who live in black communities are quoted premiums that are $438 more per year than drivers who live in white communities. This is about 70% more expensive.
  • In 2017, Consumer Reports and ProPublica found that in California, Illinois, Missouri, and Texas, premiums are higher in minority neighborhoods in general, not just predominantly black neighborhoods.
  • In communities where more than 75% of the residents are African American, premiums average 70% higher compared to communities where the population is less than 25% African American ($1,060 vs. $622).
  • In many metropolitan regions around the country, including Baltimore, New York, Louisville, Washington, DC, Detroit, Boston, and Orlando, the disparity of premiums is more than 50 percent between predominantly African American and predominantly white ZIP codes.

Technology and car insurance

  • Auto insurance premiums are lowered by $8 a year on average if you implement electronic stability control (ESC) in your vehicle.
  • Other safety devices offer basically no additional savings in auto insurance premiums – safety devices like a blind-spot warning device, lane departure warning, and night vision.
  • No anti-theft device on the market saves more than 1% on average auto insurance costs.

Car insurance violation trends

  • From every year from 2011-2019, a citation for leaving the scene of an accident (hit and run) will affect your auto insurance premiums more than any other violation.
  • Getting caught using your phone while driving will raise your insurance rate by an average of 23% ($356). In some states this will raise your rate by more than 63%.
  • Drivers can save about 6% on rates if they reduce their mileage from 15,000 per year to 7,500 or less miles per year. This is based on the average American driving about 12,000 miles per year.

Average increased cost of auto insurance by accident/violation

Year 2015 2016 2017 2018 2019
Cell Phone Violation $84 $184 $238 $321 $355
Texting while Driving $84 $185 $240 $323 $357

 

Length of Time After DUI Conviction
Average Increase
Increase at 6 months $477
Increase at 12 months $953
Increase at 3 years $2,859

 

Sources

Insurance Information Institute
thebalance.com
nerdwallet.com
coverage.com
thezebra.com